China's Youth Jobless Rate Hit New High in August

China's youth unemployment rate hit a new high in August as the economic downturn dimmed their career prospects.

The jobless rate for people aged 16 to 24, excluding students, rose to 18.8% in August, surpassing the previous record of 17.1% in July, according to data released by the National Bureau of Statistics on Friday.

After a sustained period of high youth unemployment embarrassed the government last year, Beijing stopped releasing the data and revised the methodology by excluding all students currently enrolled in school.

Despite this, the latest data, which the government claims more accurately reflects the workforce, was still 3.5 times higher than the overall urban unemployment rate, which stood at 5.3% in August.

The unemployment rate for workers aged 25 to 29, excluding college students, also increased to 6.9%, the highest in four months.

China's National Bureau of Statistics spokeswoman Liu Aihua attributed the rise in the country's unemployment to a record 11.79 million graduates entering the job market this summer.

The government has introduced various measures to encourage the hiring of graduates, including subsidies and other incentives, but young workers continue to face difficulties in finding jobs.

Earlier this month, Beijing unveiled a plan to raise the retirement age to address workforce shortages, but many have argued that this move could further exacerbate the youth unemployment situation.

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(END) Dow Jones Newswires

September 22, 2024 22:10 ET (02:10 GMT)

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